I call this a tesla short idea, primarily because that is all this is, an idea. I have been looking at tesla on both a line chart and a bar chart, and have noticed a 5 wave structure that has unfolded.
The count is a full impulse to the upside that has an extended third wave and an extended fifth wave.
Since these are rare, my justification is that the hype behind tesla has been so enormous, that it has created a huge wave 3 and wave 5. In addition to the psychological aspect of it, I believe that the count is accurate since it has alternation within all of the subwaves of every impulse wave, and the wave 3 is 2.618 of the wave 1 and the wave 5 is a 1.236 projection of the waves 1-3.
Highly doubt this is going much higher
From the high at the end of January, we have seen a significant drop in price, which I categorize as a wave A to the downside. From the wave A, we have seen a clear wave B.
The reason why I don't think this is an impulse move, is because it can be contained within parallel lines, and if this is impulsive I would expect the wave 3 to have broken out of the parallel lines.
In addition to this, the most recent wave up appears to clearly be a 3 wave move which is a characteristic of corrective waves.
Assuming my count is correct, Tesla is headed back to at least the 500$ range, but 400$ isn't out of the question.
I am wrong with this count if tesla breaks out of the channel or above the high of the wave B.
The count is a full impulse to the upside that has an extended third wave and an extended fifth wave.
Since these are rare, my justification is that the hype behind tesla has been so enormous, that it has created a huge wave 3 and wave 5. In addition to the psychological aspect of it, I believe that the count is accurate since it has alternation within all of the subwaves of every impulse wave, and the wave 3 is 2.618 of the wave 1 and the wave 5 is a 1.236 projection of the waves 1-3.
Highly doubt this is going much higher
From the high at the end of January, we have seen a significant drop in price, which I categorize as a wave A to the downside. From the wave A, we have seen a clear wave B.
The reason why I don't think this is an impulse move, is because it can be contained within parallel lines, and if this is impulsive I would expect the wave 3 to have broken out of the parallel lines.
In addition to this, the most recent wave up appears to clearly be a 3 wave move which is a characteristic of corrective waves.
Assuming my count is correct, Tesla is headed back to at least the 500$ range, but 400$ isn't out of the question.
I am wrong with this count if tesla breaks out of the channel or above the high of the wave B.